What to do when a client won't pay
Updated 2026-06-19
An unpaid invoice is stressful, but panicking (or going silent) both make it worse. Work a calm, escalating playbook: each step is firmer than the last, and most invoices get paid long before the end.
Step 1 — The friendly nudge (0–7 days overdue)
Assume it’s an oversight, because usually it is. A short, polite reminder restating the invoice number, amount and due date is enough most of the time. Keep it warm and factual — see how to ask for payment politely, or generate one with the reminder templates.
Step 2 — The firm follow-up (7–21 days)
No response? Get firmer and more specific: state that the invoice is now overdue, ask for a specific payment date, and confirm you have the right contact and details. If a client keeps offering reasons, don’t get carried along by the wording — hold the next action (a date, in writing). The AI excuse translator can help you read between the lines.
Step 3 — The formal demand + late fees (21–45 days)
Now it’s serious. Send a formal demand letter: the facts, a firm deadline, and the consequences of non-payment. Generate one with the demand letter generator. If your contract (or local law) allows it, apply late fees and interest — work out how much with the late fee calculator. This is also the moment to pause any ongoing work until you’re paid.
Step 4 — Final notice and your options (45+ days)
If a formal demand is ignored, your realistic options are:
- Final written notice stating you’ll pursue recovery (use the “final notice” tone in the demand letter generator).
- Small claims court — cheap and designed for exactly this in many countries; the threat alone often prompts payment.
- A collections agency or a solicitor’s letter — for larger sums.
- Mediation — if the relationship and amount are worth preserving.
How to avoid getting here next time
Most non-payment is preventable upstream:
- A signed contract with clear payment and late-payment terms;
- A deposit before you start (see how to ask for a deposit);
- Invoicing promptly with an exact due date;
- A consistent, automatic follow-up from day one — the single biggest lever. Many invoices never reach step 3 simply because a reminder arrived on time. That’s what Duefy automates.
This is general guidance, not legal advice — for large debts or disputes, take advice for your jurisdiction.